Unlocking Trillions of Value Through Soil Health
Carbon Accounting Post Series, Part 2 of 3
Written by Lars Dyrud
We can all agree that soil health in the United States has room for improvement. Some farms and ranches have healthy, thriving soils but many do not, and that represents an enormous opportunity. Improving soil that’s not at its optimal state can unlock significant value for farmers, ranchers, and the nation.
At EarthOptics, we recently analyzed profitability per acre in North and South America in two key food production systems: row crops and grazing operations. Although the vast majority of farms and ranches are operating far below their potential, the most successful producers consistently benefit from biological, chemical, and physical soil analyses that are highly repeatable, measurable, and (most importantly) achievable. Utilizing our data, we were able to estimate how much new profit could be generated by bringing an “average” farm or ranch closer to a state of optimal soil health.
- Today, U.S. farms and ranches are valued at about $6 trillion.
- If they were operating at the higher profitability levels possible through improved soil health, the total value would rise to $10 trillion. It’s true – optimizing soils across the country could potentially create $4 trillion of new wealth.
Collectively, U.S. farms and ranches generate around $1.25 trillion in annual revenue, a number that could grow dramatically through:
Increased Productivity
- Healthier soils produce more forage for grazing operations.
- Better soil health translates into higher yields and more resilient row crops.
The Sustainability Economy
- There’s massive potential in new revenue streams (Scope 3 accounting, offset credits, etc.) coming from adding more carbon to existing acreage every year.
- Scaling soil carbon storage could cut overall emissions in the U.S. by about 10% while helping the agriculture industry move toward carbon neutrality.
This is why we’re so passionate about what we do at EarthOptics. Optimizing soil isn’t just about science; it’s about creating revenue for farmers and ranchers, strengthening food security, and advancing climate solutions. But most importantly, it needs to make business sense.
We’ll explore how to make this kind of sustainability truly scalable and lasting in the final post in this series. Stay tuned!
Carbon Accounting Post Series
If you missed the first part of the series, read it here!
Can Beef Be Carbon Neutral? The Surprising Role of Soil - by Lars Dyrud